Educational tool: calculations are illustrative and are not investment advice or predictions.
Risk management

Drawdown Recovery Calculator

Calculate remaining capital and the percentage gain required to recover a portfolio loss.

Free to useNo account requiredPrivate by defaultInputs stay in your browserTransparentFormula shown below

Formula-based educational calculator · Tested with worked examples · View methodology

Enter your scenario

Example values are pre-filled. Replace them with your own.

How this calculator works

Why recovery needs a larger percentage

After a 50% loss, only half the capital remains. Doubling that smaller base requires a 100% gain. Controlling drawdowns preserves both capital and flexibility.

Use it as a risk reminder

The calculator does not predict recovery time. It shows the mathematical asymmetry between losses and subsequent gains.

Why recovery gains are larger than losses

Loss and recovery percentages use different starting values. After a 20% loss, ₹1,00,000 becomes ₹80,000. Returning to ₹1,00,000 requires ₹20,000 profit on ₹80,000, which is a 25% gain. A 50% drawdown requires a 100% recovery gain.

Estimate recovery time

Enter an assumed gain per period to estimate the minimum number of compounding periods required. The result is mathematical, not a forecast: returns vary, losses may continue and withdrawals or additions change the path.

Frequently asked questions

Can this result predict a trade?

No. It only applies a formula to your assumptions. Market prices, fills, fees and outcomes can differ.

Does TradeCalcZen store my values?

Calculations stay in your browser. Turn on Remember my inputs to save a scenario locally; turn it off to remove that saved scenario. No calculator values are sent to our servers.

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Learn with a worked example

Why Trading Losses Need Larger Recovery Gains